Bitcoin will ignite if it breaks through $82,000... $200 million in short positions crushed

▲ Bitcoin (BTC) / ChatGPT generated image

Bitcoin (BTC) rose to $81,019 during the day, and market attention is focused on whether it will break through the key resistance level of $82,000.

U.Today reported on May 5 (local time), citing CoinGecko data, that Bitcoin rose to $81,019 during the day. However, Bitcoin remains 35.7% lower than its all-time high of $126,080 recorded in early October.

During the ascent, the liquidation of short positions also increased significantly. According to CoinGecko data, approximately $226 million worth of short positions were liquidated in the last 24 hours. This is interpreted to mean that selling positions were quickly cleared during Bitcoin's rebound, increasing short-term upward pressure.

The market's key area is $82,000. Jeff Park, an advisor at Bitwise, analyzed that if Bitcoin breaks through $82,000, a full-fledged uptrend will ignite. However, buying pressure has not yet definitively crossed this resistance level, and bulls are struggling to break through this zone.

U.Today also reported that the possibility of Bitcoin never trading below $60,000 again has increased. This is because the 200-week moving average has risen above $60,000 for the first time. It is evaluated that as the long-term moving average rises, Bitcoin's lower support structure has become higher than in the past.

Ultimately, Bitcoin's next direction depends on whether it breaks through $82,000. While short liquidations are stimulating a price rebound and long-term moving averages are rising, the rally could be limited if it fails to overcome the key resistance level. The market is watching to see if a breakthrough of $82,000 can turn the short-term rebound into a full-fledged uptrend.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. This content should be interpreted for informational purposes only.*